Episode Transcript
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Speaker 1 (00:00):
All these years you've saved up planning for a secure retirement,
but if you're not careful, it will be the irs
that's living it up when you retire by taxing your
hard earned money. Welcome to the Maggie Tax and Financial
Hour with Robert and Chris Maggie of Maggie Tax Advisory
and Financial Group. With over thirty years of combined experience
in tax savings, income planning, and investment opportunities, Robert and
(00:22):
Chris share advice and tax planning strategies designed to protect
your retirement nest egg from Uncle Sam. Your questions and
comments are welcome during today's program by calling eight one
three three two two twenty five twenty. That's eight one
three three two two twenty five twenty or visit Maggie
Tax dot Com. That's Maggi tax dot com and now
(00:46):
your host for the Maggie Tax Financial Hour on nine
seventy WFLA. Robert and Chris Maggie.
Speaker 2 (00:53):
Hello everyone, and thanks for joining us today. My name
is Robert Maggie.
Speaker 3 (00:55):
I'm with my son Chris Maggie, and you are listening
to the Maggie Tax and Financial Show Today. We're going
to cover a lot of topics that a lot of
people ask us. But be sure to visit our website,
Maggie Tax dot com. We have seminars listed right there
for all of you, so you can look at the
dates and pick one. We do two a month and
sign up for one of the seminars on wills and
trust and tax planning. Also, we have a Facebook page,
(01:19):
so check that out because we have a lot of
information on that and a YouTube channel, So if you
can't hear this whole show and you want to hear more,
just tune into that. Like I said, be sure to
visit our website, Maggie Tax dot com and every Sunday
at ten thirty, tune into the Maggie Tax and Financial Show.
Speaker 2 (01:35):
And Chris, I'm interested today because we have a lot
going on.
Speaker 3 (01:39):
Things never change in this business, and it seems like
people are more confused than ever. But now that things
are behind us and now we can start educating people
like we do, I think it's going to be a
lot easier.
Speaker 4 (01:49):
Absolutely, and you know, welcome to the show. I'm Chris Maggie,
and thank you so much for tuning in. And there's
so much that we do, from investment to tax planning,
to insurance planning, to income planning, to social security maximization.
And one of the things we want to talk about
today is converting your IRA or even your four one
K to a tax free accountant. And one of the
biggest peves of ours is that when people tell us
(02:09):
that they're not going to convert their iras to roths
because they want to avoid moving into a higher Medicare
income threshold or a higher tax bracket. Those are things
that we hear consistently. And one of the things you
have to start thinking about as you get older and
you move into retirement is taxes, and taxes are our
(02:30):
biggest expense. And many advisors out there don't talk about taxes,
and we do because tax planning is important as well
as income planning. So visit our website throughout today's show.
It's Maggie tax dot Com. As my dad mentioned before,
every Sunday on ABC TV at ten thirty am is
the Magi Tax and Financial show right there. It's a
half an hour's show, but we educate you on a
(02:51):
lot of different things. So pick up the phone schedule
time to meet with us. We have office on both
sides of the Bay, so pick up the phone, schedule
time to meet with US eight three three MAGI tax.
Speaker 3 (03:00):
In addition to what Chris mentioned before about moving into
a higher Medicare income threshold, a lot of people don't
realize that the Medicare Part B and the Medicare Part
D their.
Speaker 2 (03:09):
Income based premiums.
Speaker 3 (03:11):
And when a person gets a letter and they're telling
them that's going to go up, they're shocked. But the
more income you have on your tax return to hire
your premiums, so it's a good time to get a
tax review. So when I hear this excuse, I just
want to pull my hair out because it's a bad education.
And this is things that are changing right now. It
happens every year, so they just don't get it.
Speaker 2 (03:31):
You know.
Speaker 3 (03:31):
Let's talk about one of our clients who wanted to
discuss a Wroth conversion. And many times people come in
and they speak to Chris and I and they say, look, guys,
should we do a Wroth conversion? And the answer I
gave in sodas Chris, is let's take a look at
it from the top down and a tax review, because
maybe you can do a portion and do it gradually
and not get a big tax hit or do it
(03:52):
all at once, and that depends on you. So Jill
and Tony they did get it. And Jill and Tony
they're both in our clients. They're in their late sixties.
They came to us with about two point six million
in their combined IRA balances, and they were aware that
they were going to get slammed with taxes in their
seventies and beyond if they didn't do something proactive. They
(04:12):
keep hearing from their friends, you know, should we do this,
should we do to do that? And one thing, Chris,
I want to mention a lot of CPAs don't talk
about roth conversions. And I think that's a mistake because
you should present it to someone and let them make
a decision. And they are the typical IRA millionaire and
they work long and hard, they saved well, they invested okay,
and now have a couple million in their iras. And
(04:33):
the question, Chris, is it all theirs?
Speaker 5 (04:35):
No? And that's the thing. It's all taxable.
Speaker 4 (04:37):
And many people don't realize and understand that if you
have an IRA or Form one K or a set IRA,
even if you're a federal employee, have a TSP, it's
all taxable. It's infected with taxes. And regardless of the amount,
guess what, You're right, all of that is not theirs.
Uncle Sam has a very large chunk of that money
that's going to go to taxes at some point. So
(04:58):
continue the story here, because you're right, it's not all theirs.
So what do they do?
Speaker 3 (05:02):
Well, they continue to live conservatively because they have the
money to pay their bills and just watch their iras
continue to grow over time. That's okay, because that's what
you wanted to do. But based on the principles we
explain to every client, we put together a multi year
strategy for them to convert one hundred percent of their
iras to roths, but to convert it over time. You
(05:23):
can do a conversion over five years, seven years and
reduce the tax on your IRA and have all tax
free money.
Speaker 2 (05:29):
Chris.
Speaker 3 (05:29):
And every time we show this to a client, the
question is what in my person show me?
Speaker 5 (05:33):
Well, that's just said.
Speaker 4 (05:34):
See many advisors out there just talk about investments and
you know, give me your money, let me manage it
for you. Well, that's not the complete story. You deserve better.
There is income planning, there's tax planning, there is investment planning,
and when you combine all of them you have a plan.
It's called the holistic plan, and also a state planning
to put that on top of everything. And many people
out there don't understand that you can do very cool
(05:57):
things to put yourself in a situation where you don't
have to worry about the future of legislative risk and
tax is increasing in the future, and that's what you
want to avoid.
Speaker 5 (06:06):
So think of it this way.
Speaker 4 (06:07):
If you have an account that's infected with taxes, every
time you take money out, it's taxable, and when tax
rates increase, guess what you have to pay those taxes.
What if you can get on the other side of
that where who cares if tax rates go up, you
don't have to pay any more taxes on those funds.
And that's what we're talking about here when we talk
about planning and tax planning. That's one of the things
(06:28):
we're talking about here. So continue on with the story
because it gets better.
Speaker 3 (06:33):
Yeah, eight three to three, Maggie, tax You can call
right now, make an appointment. But here's the happy ending,
and this is what we really love doing. In addition
to showing them how to avoid one point two million
of income taxes. They're also projected to save one hundred
and fifty one thousand of Medicare premiums over their combined lifetimes.
And I love what we do for families because it's
(06:53):
very gratifying to watch how such a simple act, if
you do it correctly, can save a lot of money
and an amazing amount of money and give families so
much more financial freedom.
Speaker 2 (07:04):
And I have examples that I can.
Speaker 3 (07:05):
Go through, which we will go through on the radio,
of whether you have an IRA of a million dollars
or five hundred thousand or even fifty thousand. So it
doesn't eliminate anybody, Chris. It's just a matter of taking
the taxable money and moving it to the tax rebucket
to reduce the taxes the correct way.
Speaker 5 (07:21):
And that's called planning.
Speaker 4 (07:22):
And if your advisor is not doing strategic planning, then
that's why you should pick up the phone schedule time
they meet with us eight three three Maggie Tax. Visit
our website at Maggie tax dot com. That's m A. G. G.
I tax dot com. And there's so much information right
there at your fingertips. But more importantly, work with the
right advisor who's going to talk about tax planning, investment planning,
and income planning, state planning, social security maximization planning. That's
(07:45):
what you want to be especially going into the year.
You want to make sure that you are planning the
right way.
Speaker 3 (07:51):
And you know what's funny, at the end of the year,
we always get calls, you know, December, I want to
convert and they're struggling because they have to do it
at the end of the year.
Speaker 2 (07:59):
Don't do that. Wait, what's not going to help you
if you wait. Do it now. You can do it
in the beginning of the year.
Speaker 3 (08:04):
You could do it all year and strategically, that's the
word Chris and I use. Let's roll some of that
money out, reduce the taxes and have tax free income.
So how about you, what's your thoughts? So give us
a call eight three to three, Maggie Tax. Let's sit down,
talk about your situation. And I'm telling you be surprised.
So I've shared several real life stories of people who
trusted us as specialists in this field. And here's the key.
(08:28):
Not everybody can do this, Chris. Not every CPA, not
every tax advisor can do a roth conversion. We've been
specializing in this for years, and we're proud to say
that we've helped a lot of people and for those
of you listening who know we've done it, know exactly
what I'm talking about, and their financial lives have become
so much less complicated at tax time and also in between.
Speaker 5 (08:48):
And that's just it.
Speaker 4 (08:49):
Many advisors out there as well, they don't talk about
tax planning. They don't want to do nothing with taxes
because they one don't know it and they're not versed
with it, they're not educated about it. And that's something
that you want to understand as you move forward in
your financial future because you want to be with the
right advisor, someone who does complete planning or holistic planning.
(09:09):
And you know, when we talk about conversions, that's just
one of the things that we do to help people
get a tax free environment.
Speaker 5 (09:15):
You know, as far as their investments.
Speaker 4 (09:17):
And if your investments and no one's managing them for you,
or you have an old Form one K, or you
have an account that's you think it's being managed, well,
come on in, let's get a second opinion, because that's
what we're talking about here. This is your financial future
doesn't matter how old you are you want to have
a tax plan, you want to have an income plan,
you want to have an investment plan, and you also
want to have an estate plan. And many people out
(09:38):
there have no idea how their accounts are going through transfer.
You know, is it set up the right way? Well,
these are things that we do to help our clients.
So pick up the phone, schedule a time to meet
with us. We have offices on both sides of the
Bay eight three three Maggie tax. You know we're talking
about conversions, but can can continue that journey and most
of people's financial net worth. When you do strategic and
(10:01):
bucket planning, you could put yourself in a better situation.
So when tax laws change, and when they do in
the future, at some point you don't have to fall
victim to them. And that's one of the keys that
we focus on and when we take a tax approach
in everything we do. So pick up the phone, schedule
time to meet with us. Eight three to three magi tax.
Whether you're looking for income planning or tax planning, or
(10:24):
investment planning or estate planning, we can help you eight
three to three magi tax. If you have at least
two hundred and fifty thousand, two one million dollars or more
in iri retirement funds. You're likely a great candidate for
a huge amount of tax avoidance over your lifetime, but
you have to start now. Eight three to three Maggie.
Tax procrastination is very costly and we all know that.
(10:44):
So now is a time, more than ever before, to
pick up the phone. Schedule time to meet with us.
Eight three three Magi Tax. Go to our website Maggie
Tax dot com and click on.
Speaker 5 (10:53):
A link and let's get together. Eight three to three
Magi Tax.
Speaker 1 (10:58):
Stop planning for Uncle Sam's or timeirement and start planning
for your retirement. As we return to the Maggie Tax
and Financial Hour with your host, father and son Robert
and Chris Maggie. For additional information on how you can
create a tax free retirement, visit Maggie tax dot com.
That's Maggi tax dot com or call eight one three
(11:20):
three two two twenty five twenty that's eight one three
three two two twenty five twenty Now your host for
the Maggie Tax and Financial Hour, Father and son from
Maggie Tax Advisory and Financial Group, Robert and Chris Maggie.
Speaker 4 (11:35):
Welcome back to the Maggie Tax and Financial Show. I'm
Chris Maggie. I'm here with my dad and coast of
the show, Robert Maggie, and as always, we are so
grateful to be here because there's so much information to
talk about. People need education, and they come to us
because they're looking for advice, and they're looking for ways
to help them during retirement, whether it's creating more income,
(11:55):
in creating an income plan for them where guaranteed income
streams come in for the rest of their life, for
creating a family pension where they can't outlive, or they're
investment planning. Many people come to us and they have
questions about their investments and an old four and one
K that they need to roll over, or what about
their current accounts. They want to maximize the market or
protect against downside losses. So there's a lot of different
(12:17):
things that we do to help people. Also, estate planning.
Many people have no wills or trusts or power of attorneys,
whether their beneficiary forms aren't even right, so that's what
we do.
Speaker 5 (12:27):
We do a lot.
Speaker 4 (12:27):
It's called holistic planning. So I'm glad to offer these
services to many people out there who are listening if
you have any questions, just pick up the phone. Schedule
time to meet with us. Visit our website at Maggie
tax dot com. That's m Aggi tax dot com. And
don't forget Every Sunday on ABCTV at ten thirty am,
tune into our show, the Magi Tax and Financial Show,
(12:48):
So eight three to three Maggie Tax. Schedule time to
meet with us.
Speaker 3 (12:51):
And to make it easy, if you go to our
website Maggie tax dot com, go to seminars. We do
two seminars a month and we're going to be doing
it every month throughout the year. They're at libraries, they're educational,
they're on taxes, they're on retirement. What Chris mentioned before,
a state planning. A lot of people don't have a
will or a trust power of attorney. And the funny
thing about that is when we talk about that, we
(13:12):
usually get someone coming in that said they just lost
their parent or they lost, you know, a relative, and
now it's too late for them because they don't have
the documents. Folks, please take that serious. It's real important.
Get your documents in a row and visit our website,
Maggie Tax. You can see what we have there. So Chris,
we've been talking about, you know, roth conversions. A lot
of people out there question it, they don't know how
(13:34):
to do it. And some people that we see that
have done it have done it wrong because they're paying
way too much in taxes and that's our specialty. So
sit down with Chris and I, let's do a tax
review because then you'll see exactly what taxes you're going
to pay and what you can say. And we're going
to show you some examples in a second here, because
this is reality. This is what happens when you come
in to meet with Chris and I. We can help
(13:54):
you understand that you know what you're going to make
the final decision.
Speaker 4 (13:57):
Well, let's use an example here where it's real. But
we're going to make sure that you understand that this
could happen to you and this could be you. So
we had a client that came in at a six
hundred and seventy five thousand dollars IRA. It's in a
brokerage account, just sitting there. A client did not need
the money, just letting it grow. First off, they had
no idea what they're invested in. So when we did
the analysis, who broke that down and they were actually
(14:19):
taking more risk than than what they really wanted to.
So what we call risk level was very probably balanced,
but what they're investing in is very aggressive. So we
had to dial that back a little bit, and we
showed them that their advisor is really not paying attention
to their account and if the market does go down,
then guess what, They're going to lose a lot of money.
(14:39):
So they did not want that and they want an adjustment.
So we helped them put together an investment plan with
different buckets of money with a different purpose. And that's
what we're talking about here. Whether it's dividends, whether it's safety,
whether it's using ways to hedge against inflation. That was
are the buckets that we created for this client. Now,
(15:00):
not only that, we took it to another approach and said, well,
let's talk about future money and what's taxable, what's tax free?
And she said, well, I have no tax free money.
And we talked about first the required minimum distribution. So
she's seventy years old and in a couple of years,
at seventy three, she's going to have to take out
what they call the required minium distribution. And when you
(15:21):
come in to meet with us. We could run this
for you, but at assuming a five percent, just very
conservative growth rate on six hundred and seventy five thousand
dollars at age seventy three, she has to take out
twenty eight thousand dollars of required minimum distribution. Whether she
wants to or not, she has to take that money out.
And every year after she has to take the distributions.
(15:42):
And as you'll see, as the account gets bigger, guess
what happens to the distributions, more taxes, more taxes, They
get bigger, and then now she has to pay more taxes.
And she said, well, how do I get rid of this?
So we ran the example and we showed her that
if she continues to stay on the course that she's
currently on, she's going to pay one hundred and fifty
(16:02):
thousand dollars on taxes on her Requirementum distributions throughout her lifetime.
When she reinvests those Requirementum distributions, she's going to pay
another fifty five thousand dollars. And then when she passes away,
she's going to pay another one hundred and thirty five
thousand dollars to her beneficiaries. Because it's all taxable. So
that six hundred and seventy five thousand dollars IRA, she's
(16:24):
going to pay three hundred and forty thousand dollars in tax.
And that's just at current tax rates. And if they
increase in the future, guess what she's going to pay more.
Speaker 5 (16:33):
So what do we do?
Speaker 4 (16:34):
We said, hey, let's talk about tax free buckets. Let's
convert some money from an IRA to a roth IRA.
So when we reallocated the funds and did the conversion,
she has to pay one hundred and thirty five thousand
dollars in tax and that's it. She has no more
taxes on her requirement of distribution. When she passes away
in the future, she has no tax to the beneficiaries.
(16:57):
So she said, well, one hundred and thirty five thousand
is better than three hundred and forty thousand dollars, isn't it?
And we said yeah, but let's do it the smartlay.
We can pay it on one lump sum, or we
could do it over time, so that one hundred and
thirty four thousand dollars we can convert over a five year,
seven year, ten year pay. And guess what Dad tell me?
How she felt after.
Speaker 2 (17:17):
That she was surprised she didn't know.
Speaker 3 (17:19):
And what made her really understand is why should I
pay more in taxes?
Speaker 2 (17:22):
Because what Chris also needs I didn't mention, but he will.
Speaker 3 (17:25):
It affects it her part being a part D if
she keeps taking that money out.
Speaker 2 (17:29):
So when you look back.
Speaker 3 (17:30):
On it, you got to you got to figure out
if we can do it, you know, strategically to reduce
the tax on the IERMA which is going to increase
and the part D.
Speaker 2 (17:39):
And that's what people don't get it.
Speaker 3 (17:41):
So when we explain what he just did here to people,
it's a it's a multitude of things that you don't
know that are going to affect you Ira, and it's
going to be higher taxes all the way across the board.
Speaker 4 (17:52):
So when someone's in the situation with Evan IRA, what's
the best advice you would give to do to get
ahead of the situation.
Speaker 3 (17:59):
Well, number one is we're talking about here today. Let's
sit down and take a look at it and see
what the numbers look like and if it makes sense
to do it strategically where you take a less tax
out than more, why would you not do that? Because
now what Chris just explained to you she has all
tax free money and she could take it out. It
doesn't affect her Social Security, it doesn't affect her ERMA,
(18:19):
and it doesn't affect her Part B and D. And
that's the story, folks, that you have to pay attention to,
because no one's talking about that.
Speaker 5 (18:26):
And that's just it. So we talked about two roads.
Speaker 4 (18:28):
She can stay on the same road like everybody else
and pay more taxes in the future, and when legislative
risk and the tax rates change, she's going to pay
a heck of a lot more as she gets older.
Or you can get in the tax free lane and
avoid and pay less tax if not any you could
be in a tax free environment for the rest of
your life and.
Speaker 5 (18:48):
Your account grows.
Speaker 4 (18:49):
Guess what taxes are not there anymore because you already
pay them. So pick up the phone, schedule time to
meet with us eight three to three Maggie Tax.
Speaker 5 (18:56):
That's a three to three Maggie tax.
Speaker 1 (19:03):
Stop planning for Uncle Sam's retirement and start planning for
your retirement. As we return to the Maggie Tax and
Financial Hour with your host father and son, Robert and Chris,
Maggie for additional information, on how you can create a
tax free retirement. Visit Maggie tax dot com. That's Maggi
tax dot com or call eight one three three two
(19:26):
two twenty five twenty. That's eight one three three two
two twenty five twenty. Now your host for the Maggie
Tax and Financial Hour. Father and son from Maggie Tax
Advisory and Financial Group, Robert and Chris Maggie.
Speaker 2 (19:40):
Welcome, every want to thanks for joining us. My name
is Robert Maggie.
Speaker 3 (19:43):
I'm here with my son Chris Maggie, and today we're
talking about what we do for a lot of people
on the Roth conversions and why it's so important to
get it done correctly. So if you have an account,
a brokentch account, or you have just a savings account
and you need some information on how to put a
plan together, that's what Chris and I got to talk about,
because it's not just investments, it's more because it's an
(20:05):
income plan, it's a tax plan, it's a legacy plan,
and what about your beneficiaries. So we're going to talk
about how we put this together. Because now we're going
to put this car, this vehicle together so you can
drive away in a tax free environment. So Chris, let's
start with you know, a typical client comes in and
they bring in their statements and we see they have
brokered statements and there's non qualified and qualified, which brings
(20:28):
up another point. Sometimes I don't even know what they have.
So how do we start to make it easy for
them to understand how to separate that money and start
putting it into bucket planning.
Speaker 4 (20:36):
Well, that's it, you know a great question. My gosh,
many people come in with all these statements and they
have piles of money. They don't know where and what
those accounts are. Are they taxable, they non taxable? Can
you generate income from them? Or can you not? So
they're just confused, right, and they've been with their advisor
maybe for a couple of years or for a long time,
it doesn't matter. But maybe they're not doing the complete
(20:57):
plan for them. Maybe they're just doing transactional an account
or I've had this advisor or brokerage account for ten
years and it's just sitting there.
Speaker 5 (21:06):
Well is it?
Speaker 4 (21:07):
Are you taking the right risk with that account? So
what we do is we can do a couple of things.
Number one, we set up a balance sheet. We show
you where your accounts are, what's taxable, it's non taxable,
All on one sheet, we show you type of income
you're currently taking. And this makes a lot of sense
to people because it's about education. So we educate you
on what you have, and then we can go into
(21:28):
step number two, go back to.
Speaker 3 (21:29):
The balance sheet, because it's always some enlightening. A lot
of advisors don't do a balance sheet, and we do
it from the ground up. You know what's soo security,
what there's saving these accounts are if it's non qualified,
if it's qualified, and goes into the beneficiary.
Speaker 2 (21:44):
And who you want to leave it to.
Speaker 3 (21:46):
So the biggest concern that I think people have is
that when they meet with an advisor that they're gonna
come in and they're gonna take all their money and
they're gonna put all their money into one bucket.
Speaker 2 (21:56):
And they don't want to do that.
Speaker 3 (21:58):
So how do you separate right to educate the client
that you can put money in safe buckets. You can
still put money in some risky buckets, but not all
of it. And we've seen this every single time when
a client comes in with a statement.
Speaker 5 (22:12):
Absolutely.
Speaker 4 (22:13):
So leading into step two is that we can analyze
your accounts, and you're right, this is your money. Let's
just talk about this. It's not your advisor's money, it's
not your CPAs, it's your money. So if you come
in and you have a million dollars and you have
two hundred and fifty thousand in the stock that you
love because you've been with it for a long time,
why can't you keep it? Sure you can, there's nothing
wrong with saying you can't. But let's see how it
(22:34):
plays in your plan. Let's get educated and let's show
you what type of risk that will take and maybe
we have to peel off a little bit of that
of money to get the income that you need or
for the right risk level that you're looking for. So Dad,
you're right. We can create the buckets of money. And
a lot of people are looking for safety for their core.
They want to protect their money. We call it green
money buckets. Those are safe money where you don't lose anything,
(22:55):
there's no fees, where you protect your money. So if
the market goes down, guess what those are your protection buckets.
Then you can have yellow money. Yellow money's we're actively
managing money. That's where you can have different purposes with
accounts You can have an inflation protection bucket. You can
have an account that generates dividends, you can have an
account that has growth stocks ETFs a lot of different
(23:17):
positions that are managed effectively. And you can have a
red bucket where if you want to have your own
account that you actively manage or play with, then you
could do that too. But having a holistic approach with
your accounts and knowing where your money's at is so crucial,
and many people, we find out don't have that in place.
Speaker 2 (23:38):
You mentioned a keyword, holistic.
Speaker 3 (23:40):
We had a client call last week and I've had
it many times and they say, can you explain what
holistic means? Because I've never heard that word before. And folks,
it's a simple word because it's about your money. It's
about all your money and where you're going to put it.
And the cool thing about it is that think about
this for a second. You save money, you put it
in a savings account, or you put it in a
checking count. Why do you do that because it's liquid
(24:02):
money and you don't want to take the risk of
losing the money.
Speaker 2 (24:05):
Right.
Speaker 3 (24:06):
I know, it's a low interest rate, we get that,
but we can show you some ways to make that better.
But then you've got to start thinking about the rest
of your money, like Chris is talking about, has anyone
sat down with you and said, hey, you know what,
you're taking ninety percent risk in your investments and if
the market goes down, you're going to lose. And the
question is then what do you do now? Okay, you're
going to go back to your advisor and say, well,
(24:26):
you know, you put it in the wrong bucket. You've
got to sit down, you have to have a conversation.
You have to understand what we're talking about, because you
are going to make the final decision where when when
you put to bucket planning, how much you want in income,
how much you want in green money, how much you
want in yellow money. And I bet people listening right now, Chris,
their advisors aren't talking.
Speaker 2 (24:45):
About red, green, and yellow.
Speaker 5 (24:46):
No they're not. And that's the thing.
Speaker 4 (24:47):
They just have you this broker's account and she's just
sitting there and this is what it's done over the
past year, and don't worry, it's going to come back
when if it goes down, but over time it's going
to be Okay. Yeah, those are the general answers to
the questions that people are having. But at the end
of the day, you've done working, you're retired, you're about
to retire. So many people are in the accumulation phase
(25:08):
of their life, and when they retire, they're still in
the accumulation phase of their life. But there's the distribution
phase that you have to shift to. And it doesn't
mean just hunker down and protect your money with all
of it. That's not what we're saying. We're saying here
is that you have to have a clue. You have
to have a plan. You have to have a purpose
with every dollar you have, and that's why you create buckets.
(25:30):
When you come in to meet with us, we're going
to put together an investment plan. We're going to show
you where one your risk, what your risk level is,
and if you are reaching that or not. Maybe you're
taking more risks than you need to. Maybe you're not
taking as much risk than you need to as well,
so we can evaluate that for you. That's step number two.
Step number three is put together a plan. We can
allocate the different buckets and your money into different buckets
(25:52):
where you're going to have a purpose. You're going to
have a plan. So if this market does go down,
you have now money that just protect it later money
you can let it grow, you can invest that money.
If you are a forty year old, that's fine, or
fifty year old, that's fine. But making sure that you
have segments of money and buckets put together with the
right purpose.
Speaker 3 (26:11):
And here's the question that all of you should be
asking yourself. What if what if something happens to me today?
You know, I'm working, I've got money coming in. How
much do you have put aside that's going to give
you the income that you need every month? Where is
it going to come from? Is it going to come
from solid security? Is it going to come from a
pension without disrupting the rest of your accounts? And Chris,
I think that's the biggest fear of people have is
(26:32):
running out of money and they don't know where to
get it.
Speaker 5 (26:34):
When they do, well, that's it.
Speaker 4 (26:36):
You hit it on the head. I don't care if
you have fifty thousand or ten million dollars.
Speaker 5 (26:40):
I'll tell you what.
Speaker 4 (26:41):
Most people who have a lot of money, their main
concern is running out of money. And many people say, well,
they have plenty of money. Know what they're worried about
is losing it. They're worried about if the market goes
down and running out of money.
Speaker 5 (26:55):
So how do you combat that.
Speaker 4 (26:56):
Well, that's where the income plan comes into play, and
that's where it's so important to make sure you have
an income plan. If we asked you, what's your income plan?
Can you?
Speaker 5 (27:05):
Can you define it?
Speaker 4 (27:06):
Well?
Speaker 5 (27:06):
Yeah, you're right.
Speaker 4 (27:07):
You have social security from a husband and spouse. Some
people have a pension. Maybe some people don't even have
a survivor benefit, so if anything happens to that person,
it stops. So what are you doing? Those are three
income streams? But what if you need more money? Where
do you take the money on a most tax efficient
way so you can have the income, preserve your money
and not have to worry instead of going back to work.
(27:29):
That's generating an income plan. So we can help you
by picking up the phone. Schedule time to meet with us.
That's eight three three Maggie Tax. That's eight three three
Magi Tax. And don't forget register for our seminars. This
is what we talk about.
Speaker 3 (27:42):
Go to Maggi tax dot com look for seminars that
dates are there. Give us a call today eight three
to three Magi Tax Operators are standing by. You need
to do something to help your situation, and the biggest
thing is understand what.
Speaker 2 (27:54):
You have eight three three Magi Tax.
Speaker 3 (27:56):
So if visit our website Maggie Tax dot com, be
sure to watch your TV show every Sunday at ten
thirty on ABC. Folks, it's up to you. We are
offering a lot of helpier, you have to take the
time to do it. Eight three to three Maggie Tax.
Speaker 4 (28:08):
Eight Yeah, No, you're right, So to keep going. I
just want to talk about this as too is to
summarize some things. We do the balance sheet, we analyze
the risk that you're currently taking, We implement the plan,
and we create the buckets of money. But when it
gets to the point of conversions and tax free buckets
are taxable buckets, we can take it to a new
level and create tax free incomes. What does that look like, well,
(28:29):
tax free income. If you look at it from a
tax standpoint like we have and you're paying less taxes,
I think you're going to be pretty happy. Okay, We've
reduced a lot of our client's taxes because they did
it the right way, and we even show them if
you continue on the same path that you have, you're
going to pay a lot in taxes.
Speaker 3 (28:44):
And you know what, everybody says, well, I don't want
to do that. I know, I know, but you've got
to do something to fix it. Change the lane, look
at it through a different lens. That's the problem, Chris,
that I think people have. They are so stubborn in
their ways. Because that's the way we would talk. No
one broke the mold and said, yeah, you can do
something different and it's not going to hurt you.
Speaker 2 (29:03):
You're allowed to do that. You're a big boy, you're
a big girl. Your money, your career, your life.
Speaker 3 (29:08):
So take a step to the side and look at
it through a different lens, because you can do it.
And a lot of times, Chris, I know, we see
it all the time, the amazement and some of the
people that come in like, wow, I really didn't know that.
Speaker 5 (29:20):
And that's great.
Speaker 4 (29:20):
You know, it's really rewarding when we see clients who
have are generating over one hundred thousand dollars of income
per year and aren't paining a diamond tax. And you
look at that, and we say that on the radio,
and we say it when we move people, and I
can say the tax returns you know, people are getting
income from five different sources, including social Security and a
small pension. And guess what they got income coming in
the front door and aren't paying a diamond tax, and
(29:42):
their accounts are in a situation where they have a
purpose and they have safety, and they have growth, they
have what they're looking for inflation protection, and then guess what,
they have a plan. So we talked about all that
and then leads into the final what about a state planning?
Speaker 5 (29:56):
What is that? And how do we put this all together?
Speaker 3 (29:58):
Well, you know, if you don't have a will or
a power of attorney or a durable power of attorney
or a healthcare surrogate. People that own homes don't have
a quit claim deed or a lady bird deed, And
if they don't have that, it's going to go through probate.
And so many of you out there think, well, just
because my name's on the mortgage, it's not going to
go through probate.
Speaker 2 (30:15):
I'm going to tell you right now you're wrong.
Speaker 3 (30:17):
And you need to understand how simple this is, how
inexpensive this is, and how important it is to all
of you to sit down and put either a trust
package together or a will package because it's going to
protect you and it's going to protect your kids. And
I'm telling you, we've seen too many people come in
after the fact, Chris, and it's like you sit there
and you cry, like why didn't someone tell them about Well,
(30:37):
that's it. I mean, you see the passion that we have.
Speaker 5 (30:39):
We can do.
Speaker 4 (30:40):
That's what holistic planning is incomplanning, tax planning, investment planning,
state planning, and that's what we do here at Maget
Tax and Financial Groups. So pick up the phone, schedule
time to meet with us. Eight three three Magi Tax
eight three three Magi Attacks. We have office on both
sides of the base, so it's very convenient for you.
Eight three three mag Attacks. Look forward to meeting with
(31:01):
you and putting together a plan for you and your family.
Speaker 5 (31:04):
Eight three three Maggie Tax.
Speaker 1 (31:06):
Stop planning for Uncle Sam's retirement and start planning for
your retirement. As we return to the Maggie Tax and
Financial Hour with your host father and son, Robert and Chris.
Speaker 2 (31:16):
Maggie.
Speaker 1 (31:16):
For additional information on how you can create a tax
free retirement, visit Maggie Tax dot com. That's ma gg
I tax dot com or call eight one three three
two two twenty five twenty. That's eight one three three
two two twenty five twenty. Now your host for the
Maggie Tax and Financial Hour, father and son from Maggie
(31:40):
Tax Advisory and Financial Group, Robert and Chris Maggie.
Speaker 2 (31:43):
Oh, and welcome back. My name is Robert Maggie.
Speaker 3 (31:45):
You're listening to the Maggie Tax and Financial Show and
I'm here with my son and co host Chris Maggie.
And if you have any questions, well you need to
make an appointment. Give us a call at eight three
three Maggie Tax. And I have operators standing by right now,
and mention to them that you want to talk about
a Roth conversion, or you want to talk about taxes
and you want to talk about investments, let them know
so when we get together we'll have a conversation. But
(32:06):
you know, we've been talking about Roth conversions, and I
want to talk about why a Roth conversion at any
age will save you hundreds of thousands of dollars in taxes.
And let's talk about one of my clients that I had.
We can talk about a lot of them, but one
of them, the girl's name is Patricia. She came to
us a year ago or so after coming to the
realization that her great saving habits were going to be
(32:27):
taxed very heavily in the future, and she was shocked
because of her required minimum distribution. Chris, the thing that
matters a lot to people is they don't realize that
the iras have required minimum distribution. So whatever balance it is,
they're going to take something. Right they have to. They
have to, and whether they want to or not, they
have to right now. The question is you take that
(32:49):
R and D and what do you do with it?
Speaker 4 (32:50):
Well, some people, if they don't need it, they have
to take it and they just reinvest it. So what
happens is one they have to pay the tax on
the distribution too. Now they start paying taxes on the reinvestment.
And three, now when they pass away, they have to
pay tax on the amount that goes to the beneficiaries.
Speaker 2 (33:06):
And now, let me give you a point.
Speaker 3 (33:08):
Client calls me last week and says he got a
check for eleven thousand dollars. What's that from? I said, well,
through your RMD from IRA. He said, what's that? So
I said, look, you're of age, you have to take
the requirement distribution. He said, but I don't want the
eleven thousand. I said, well, put in your bank and
then if you invest it, you're going to get taxed
(33:29):
on it.
Speaker 2 (33:29):
He said, I don't want that. So what do we
tell this guy?
Speaker 4 (33:32):
So now that's why he's what seventy five years old?
So now looking back, if he was seventy years old,
we could start doing a roth conversion over time till
we call this strategic rollout. Even if he was younger,
he says, sixty five or sixty even fifty five, right,
or even fifty it's even better because then you can
get all the money out into a tax free environment.
Speaker 5 (33:50):
You have to worry about the requirement of distribution.
Speaker 3 (33:53):
One window of opportunity that all of you need to
look at, and you know your situation is if you're
say sixty to seventy three, that's a thirteen year window
that you have time to strategically convert your IRA to
a roth ira and pay no tax.
Speaker 2 (34:10):
How many people do.
Speaker 5 (34:11):
That, Well, a lot of people if they know that
there's a plan to do it.
Speaker 2 (34:16):
That's the reason why I do it.
Speaker 3 (34:17):
You said, the keyword if they know, and you know,
and I know a lot of people don't they're shocked.
So tax time comes around and client says to me, Bobby,
I'm paying too much in taxes, and I say, no,
you're not. Oh yeah, I never paid this much in
tax I said, well, guess what you got to check
for requirement of distribution? Right, yeah, Well it's taxable, which
(34:38):
means you didn't withhold anything for that distribution and you're
you're supposed to do that. Who gets paid first, Chris,
uncle Sam, gosh man. I wish that would change, don't you.
Speaker 5 (34:48):
So that's it.
Speaker 4 (34:48):
So we're all taught, right, we're all taught to put
money away into a form one k Ira. Reduce the
tax now, but in the future, guess what you'll have it.
You don't mean a lower tax bracket, so when the
money comes out, it's not going to be a problem
for you. The problem is that we have a huge
debt as a country, and taxes are prevalent. They're there,
they're going, they're gonna go after people who have the money.
They know how much money you have in your ir
(35:09):
they know how much money you have in your formal Okay,
they know it. So all they have to do is
increase a tax rate three percent, five percent and guess
what more tax revenues. So who's it gonna come from?
People who have the money. You have the money, so
they're gonna go out and get it at some point.
Whether it's now, whether it's five years, and whether it's
fifteen years, it doesn't matter. So the fact that we're
talking about here is keep an open mind, do some planning,
(35:32):
tax planning, investment planning, income planning, and state playing. That's
what we do here, and we're talking about here tax
planning because that's our biggest expense. So pick up the phone,
schedule time to meet with us. Let's look at if
you have an IRA, let's look at a Roth conversion.
Sit down, have a conversation, see if it makes sense.
And when when we look at your accounts and we
can figure out how much tax is that going to be,
(35:53):
and then you know, we can put it all together
to put together a plan for you. Because most people,
we see about eighty five percent of the people will
come in and have no plan. They have piles of money,
they have taxable accounts, and guess what, they're just falling
victim to whatever is going to happen. If that's what
you want, then you will have it. But if you
don't want that, then let's put together a plan. And
that's what we want to focus on here today is
(36:15):
putting together the right plan for you.
Speaker 3 (36:16):
Eight three three Maggie Tax. So let me offer all
of you listening a life support. Go to our website,
Maggie tax dot com, click on seminars. We have seminars
scheduled every single month, two a month. They're at libraries.
There's no food. I'm not feeding anybody. It's education and
a lot of people tell me the reason why they
come is because they want the education. So let me
(36:38):
say this. When you come to the seminar, it's about
an hour and a half. We're going to educate you
on what we're talking about right here, the R and
DS and how they're taxed and how to convert.
Speaker 2 (36:48):
Take the time.
Speaker 3 (36:49):
I challenge all of you all right there in the
morning and they're in the afternoon. Take the time and
come to our event. Go to Maggie Tax dot com
right now and you can put your name and register.
There's seminars through February, and we're going to do this
and we have been every month. It's the only way
that I can help you understand what these questions that
we're giving you now that people give us will answer
(37:10):
for you because you have to know the answer and
go back to the other person I had before. The
reason why that this woman realized this was because she
went on my website, Maggie tax dot com and in
thirty seconds we sent to the retirement tax bill. And
this is when she realized she has been saving so
long on a tax deferred basis and finally realize she
has a problem. Why wait so long before the virus
(37:33):
sets in or the fever gets high. Do something about
it now. So go to Maggie tax dot com right now,
go to seminars. You can click and I'll take you
two seconds. The dates are there, the times are there.
Take the time and educate and help. Let us help you.
Speaker 4 (37:47):
Eight three three Maggie Tax. And here's an idea for
all of you. If you have two hundred thousand dollars
to a million dollars even higher, we have a team
of highly qualified, personally trained representatives' planners with the knowledge
and understanding from a tax appro to understand how a
Roth conversion can save you hundreds of thousands of dollars
in unnecessary fees and taxes. How about a quick chat
(38:08):
to see if we can help you. Eight three three
Maggie Tax. Visit our website at Maggi tax dot com.
We thank you so much for listening to today's show.
Every Sunday on ABCTV at ten thirty am, tune in
to the Maggi Tax and Financial Show half an hour
and educating you on a lot of different topics income planning,
tax planning, investment planning as well as a state planning.
(38:29):
Put together the holistic plan for you. Eight three three
Maggie Tax. We look forward to meeting with you. We
have obbays on both sides of the bay. Eight three
three Maggie Tax.
Speaker 1 (38:41):
You've been listening to the Maggie Tax and Financial Hour
discussing tax planning investment strategies presented by Robert and Chris
Maggie from Maggie Tax Advisory and Financial Services with offices
in Hillsboro and Panelas County. Visit Maggie Tax dot com
or call eight one three three two two twenty five
twenty that's eight one three three two two twenty five
(39:03):
twenty and tune in next Saturday at five for the
Maggie Tax and Financial Hour.
All these years you've saved up planning for a secure retirement,
but if you're not careful, it will be the irs
that's living it up when you retire by taxing your
hard earned money. Welcome to the Maggie Tax and Financial
Hour with Robert and Chris Maggie of Maggie Tax Advisory
and Financial Group. With over thirty years of combined experience
in tax savings, income planning, and investment opportunities, Robert and
(00:22):
Chris share advice and tax planning strategies designed to protect
your retirement nest egg from Uncle Sam. Your questions and
comments are welcome during today's program by calling eight one
three three two two twenty five twenty. That's eight one
three three two two twenty five twenty or visit Maggie
Tax dot Com. That's Maggi tax dot com and now
(00:46):
your host for the Maggie Tax Financial Hour on nine
seventy WFLA. Robert and Chris Maggie.
Speaker 2 (00:53):
Hello everyone, and thanks for joining us today. My name
is Robert Maggie.
Speaker 3 (00:55):
I'm with my son Chris Maggie, and you are listening
to the Maggie Tax and Financial Show Today. We're going
to cover a lot of topics that a lot of
people ask us. But be sure to visit our website,
Maggie Tax dot com. We have seminars listed right there
for all of you, so you can look at the
dates and pick one. We do two a month and
sign up for one of the seminars on wills and
trust and tax planning. Also, we have a Facebook page,
(01:19):
so check that out because we have a lot of
information on that and a YouTube channel, So if you
can't hear this whole show and you want to hear more,
just tune into that. Like I said, be sure to
visit our website, Maggie Tax dot com and every Sunday
at ten thirty, tune into the Maggie Tax and Financial Show.
Speaker 2 (01:35):
And Chris, I'm interested today because we have a lot
going on.
Speaker 3 (01:39):
Things never change in this business, and it seems like
people are more confused than ever. But now that things
are behind us and now we can start educating people
like we do, I think it's going to be a
lot easier.
Speaker 4 (01:49):
Absolutely, and you know, welcome to the show. I'm Chris Maggie,
and thank you so much for tuning in. And there's
so much that we do, from investment to tax planning,
to insurance planning, to income planning, to social security maximization.
And one of the things we want to talk about
today is converting your IRA or even your four one
K to a tax free accountant. And one of the
biggest peves of ours is that when people tell us
(02:09):
that they're not going to convert their iras to roths
because they want to avoid moving into a higher Medicare
income threshold or a higher tax bracket. Those are things
that we hear consistently. And one of the things you
have to start thinking about as you get older and
you move into retirement is taxes, and taxes are our
(02:30):
biggest expense. And many advisors out there don't talk about taxes,
and we do because tax planning is important as well
as income planning. So visit our website throughout today's show.
It's Maggie tax dot Com. As my dad mentioned before,
every Sunday on ABC TV at ten thirty am is
the Magi Tax and Financial show right there. It's a
half an hour's show, but we educate you on a
(02:51):
lot of different things. So pick up the phone schedule
time to meet with us. We have office on both
sides of the Bay, so pick up the phone, schedule
time to meet with US eight three three MAGI tax.
Speaker 3 (03:00):
In addition to what Chris mentioned before about moving into
a higher Medicare income threshold, a lot of people don't
realize that the Medicare Part B and the Medicare Part
D their.
Speaker 2 (03:09):
Income based premiums.
Speaker 3 (03:11):
And when a person gets a letter and they're telling
them that's going to go up, they're shocked. But the
more income you have on your tax return to hire
your premiums, so it's a good time to get a
tax review. So when I hear this excuse, I just
want to pull my hair out because it's a bad education.
And this is things that are changing right now. It
happens every year, so they just don't get it.
Speaker 2 (03:31):
You know.
Speaker 3 (03:31):
Let's talk about one of our clients who wanted to
discuss a Wroth conversion. And many times people come in
and they speak to Chris and I and they say, look, guys,
should we do a Wroth conversion? And the answer I
gave in sodas Chris, is let's take a look at
it from the top down and a tax review, because
maybe you can do a portion and do it gradually
and not get a big tax hit or do it
(03:52):
all at once, and that depends on you. So Jill
and Tony they did get it. And Jill and Tony
they're both in our clients. They're in their late sixties.
They came to us with about two point six million
in their combined IRA balances, and they were aware that
they were going to get slammed with taxes in their
seventies and beyond if they didn't do something proactive. They
(04:12):
keep hearing from their friends, you know, should we do this,
should we do to do that? And one thing, Chris,
I want to mention a lot of CPAs don't talk
about roth conversions. And I think that's a mistake because
you should present it to someone and let them make
a decision. And they are the typical IRA millionaire and
they work long and hard, they saved well, they invested okay,
and now have a couple million in their iras. And
(04:33):
the question, Chris, is it all theirs?
Speaker 5 (04:35):
No? And that's the thing. It's all taxable.
Speaker 4 (04:37):
And many people don't realize and understand that if you
have an IRA or Form one K or a set IRA,
even if you're a federal employee, have a TSP, it's
all taxable. It's infected with taxes. And regardless of the amount,
guess what, You're right, all of that is not theirs.
Uncle Sam has a very large chunk of that money
that's going to go to taxes at some point. So
(04:58):
continue the story here, because you're right, it's not all theirs.
So what do they do?
Speaker 3 (05:02):
Well, they continue to live conservatively because they have the
money to pay their bills and just watch their iras
continue to grow over time. That's okay, because that's what
you wanted to do. But based on the principles we
explain to every client, we put together a multi year
strategy for them to convert one hundred percent of their
iras to roths, but to convert it over time. You
(05:23):
can do a conversion over five years, seven years and
reduce the tax on your IRA and have all tax
free money.
Speaker 2 (05:29):
Chris.
Speaker 3 (05:29):
And every time we show this to a client, the
question is what in my person show me?
Speaker 5 (05:33):
Well, that's just said.
Speaker 4 (05:34):
See many advisors out there just talk about investments and
you know, give me your money, let me manage it
for you. Well, that's not the complete story. You deserve better.
There is income planning, there's tax planning, there is investment planning,
and when you combine all of them you have a plan.
It's called the holistic plan, and also a state planning
to put that on top of everything. And many people
out there don't understand that you can do very cool
(05:57):
things to put yourself in a situation where you don't
have to worry about the future of legislative risk and
tax is increasing in the future, and that's what you
want to avoid.
Speaker 5 (06:06):
So think of it this way.
Speaker 4 (06:07):
If you have an account that's infected with taxes, every
time you take money out, it's taxable, and when tax
rates increase, guess what you have to pay those taxes.
What if you can get on the other side of
that where who cares if tax rates go up, you
don't have to pay any more taxes on those funds.
And that's what we're talking about here when we talk
about planning and tax planning. That's one of the things
(06:28):
we're talking about here. So continue on with the story
because it gets better.
Speaker 3 (06:33):
Yeah, eight three to three, Maggie, tax You can call
right now, make an appointment. But here's the happy ending,
and this is what we really love doing. In addition
to showing them how to avoid one point two million
of income taxes. They're also projected to save one hundred
and fifty one thousand of Medicare premiums over their combined lifetimes.
And I love what we do for families because it's
(06:53):
very gratifying to watch how such a simple act, if
you do it correctly, can save a lot of money
and an amazing amount of money and give families so
much more financial freedom.
Speaker 2 (07:04):
And I have examples that I can.
Speaker 3 (07:05):
Go through, which we will go through on the radio,
of whether you have an IRA of a million dollars
or five hundred thousand or even fifty thousand. So it
doesn't eliminate anybody, Chris. It's just a matter of taking
the taxable money and moving it to the tax rebucket
to reduce the taxes the correct way.
Speaker 5 (07:21):
And that's called planning.
Speaker 4 (07:22):
And if your advisor is not doing strategic planning, then
that's why you should pick up the phone schedule time
they meet with us eight three three Maggie Tax. Visit
our website at Maggie tax dot com. That's m A. G. G.
I tax dot com. And there's so much information right
there at your fingertips. But more importantly, work with the
right advisor who's going to talk about tax planning, investment planning,
and income planning, state planning, social security maximization planning. That's
(07:45):
what you want to be especially going into the year.
You want to make sure that you are planning the
right way.
Speaker 3 (07:51):
And you know what's funny, at the end of the year,
we always get calls, you know, December, I want to
convert and they're struggling because they have to do it
at the end of the year.
Speaker 2 (07:59):
Don't do that. Wait, what's not going to help you
if you wait. Do it now. You can do it
in the beginning of the year.
Speaker 3 (08:04):
You could do it all year and strategically, that's the
word Chris and I use. Let's roll some of that
money out, reduce the taxes and have tax free income.
So how about you, what's your thoughts? So give us
a call eight three to three, Maggie Tax. Let's sit down,
talk about your situation. And I'm telling you be surprised.
So I've shared several real life stories of people who
trusted us as specialists in this field. And here's the key.
(08:28):
Not everybody can do this, Chris. Not every CPA, not
every tax advisor can do a roth conversion. We've been
specializing in this for years, and we're proud to say
that we've helped a lot of people and for those
of you listening who know we've done it, know exactly
what I'm talking about, and their financial lives have become
so much less complicated at tax time and also in between.
Speaker 5 (08:48):
And that's just it.
Speaker 4 (08:49):
Many advisors out there as well, they don't talk about
tax planning. They don't want to do nothing with taxes
because they one don't know it and they're not versed
with it, they're not educated about it. And that's something
that you want to understand as you move forward in
your financial future because you want to be with the
right advisor, someone who does complete planning or holistic planning.
(09:09):
And you know, when we talk about conversions, that's just
one of the things that we do to help people
get a tax free environment.
Speaker 5 (09:15):
You know, as far as their investments.
Speaker 4 (09:17):
And if your investments and no one's managing them for you,
or you have an old Form one K, or you
have an account that's you think it's being managed, well,
come on in, let's get a second opinion, because that's
what we're talking about here. This is your financial future
doesn't matter how old you are you want to have
a tax plan, you want to have an income plan,
you want to have an investment plan, and you also
want to have an estate plan. And many people out
(09:38):
there have no idea how their accounts are going through transfer.
You know, is it set up the right way? Well,
these are things that we do to help our clients.
So pick up the phone, schedule a time to meet
with us. We have offices on both sides of the
Bay eight three three Maggie tax. You know we're talking
about conversions, but can can continue that journey and most
of people's financial net worth. When you do strategic and
(10:01):
bucket planning, you could put yourself in a better situation.
So when tax laws change, and when they do in
the future, at some point you don't have to fall
victim to them. And that's one of the keys that
we focus on and when we take a tax approach
in everything we do. So pick up the phone, schedule
time to meet with us. Eight three to three magi tax.
Whether you're looking for income planning or tax planning, or
(10:24):
investment planning or estate planning, we can help you eight
three to three magi tax. If you have at least
two hundred and fifty thousand, two one million dollars or more
in iri retirement funds. You're likely a great candidate for
a huge amount of tax avoidance over your lifetime, but
you have to start now. Eight three to three Maggie.
Tax procrastination is very costly and we all know that.
(10:44):
So now is a time, more than ever before, to
pick up the phone. Schedule time to meet with us.
Eight three three Magi Tax. Go to our website Maggie
Tax dot com and click on.
Speaker 5 (10:53):
A link and let's get together. Eight three to three
Magi Tax.
Speaker 1 (10:58):
Stop planning for Uncle Sam's or timeirement and start planning
for your retirement. As we return to the Maggie Tax
and Financial Hour with your host, father and son Robert
and Chris Maggie. For additional information on how you can
create a tax free retirement, visit Maggie tax dot com.
That's Maggi tax dot com or call eight one three
(11:20):
three two two twenty five twenty that's eight one three
three two two twenty five twenty Now your host for
the Maggie Tax and Financial Hour, Father and son from
Maggie Tax Advisory and Financial Group, Robert and Chris Maggie.
Speaker 4 (11:35):
Welcome back to the Maggie Tax and Financial Show. I'm
Chris Maggie. I'm here with my dad and coast of
the show, Robert Maggie, and as always, we are so
grateful to be here because there's so much information to
talk about. People need education, and they come to us
because they're looking for advice, and they're looking for ways
to help them during retirement, whether it's creating more income,
(11:55):
in creating an income plan for them where guaranteed income
streams come in for the rest of their life, for
creating a family pension where they can't outlive, or they're
investment planning. Many people come to us and they have
questions about their investments and an old four and one
K that they need to roll over, or what about
their current accounts. They want to maximize the market or
protect against downside losses. So there's a lot of different
(12:17):
things that we do to help people. Also, estate planning.
Many people have no wills or trusts or power of attorneys,
whether their beneficiary forms aren't even right, so that's what
we do.
Speaker 5 (12:27):
We do a lot.
Speaker 4 (12:27):
It's called holistic planning. So I'm glad to offer these
services to many people out there who are listening if
you have any questions, just pick up the phone. Schedule
time to meet with us. Visit our website at Maggie
tax dot com. That's m Aggi tax dot com. And
don't forget Every Sunday on ABCTV at ten thirty am,
tune into our show, the Magi Tax and Financial Show,
(12:48):
So eight three to three Maggie Tax. Schedule time to
meet with us.
Speaker 3 (12:51):
And to make it easy, if you go to our
website Maggie tax dot com, go to seminars. We do
two seminars a month and we're going to be doing
it every month throughout the year. They're at libraries, they're educational,
they're on taxes, they're on retirement. What Chris mentioned before,
a state planning. A lot of people don't have a
will or a trust power of attorney. And the funny
thing about that is when we talk about that, we
(13:12):
usually get someone coming in that said they just lost
their parent or they lost, you know, a relative, and
now it's too late for them because they don't have
the documents. Folks, please take that serious. It's real important.
Get your documents in a row and visit our website,
Maggie Tax. You can see what we have there. So Chris,
we've been talking about, you know, roth conversions. A lot
of people out there question it, they don't know how
(13:34):
to do it. And some people that we see that
have done it have done it wrong because they're paying
way too much in taxes and that's our specialty. So
sit down with Chris and I, let's do a tax
review because then you'll see exactly what taxes you're going
to pay and what you can say. And we're going
to show you some examples in a second here, because
this is reality. This is what happens when you come
in to meet with Chris and I. We can help
(13:54):
you understand that you know what you're going to make
the final decision.
Speaker 4 (13:57):
Well, let's use an example here where it's real. But
we're going to make sure that you understand that this
could happen to you and this could be you. So
we had a client that came in at a six
hundred and seventy five thousand dollars IRA. It's in a
brokerage account, just sitting there. A client did not need
the money, just letting it grow. First off, they had
no idea what they're invested in. So when we did
the analysis, who broke that down and they were actually
(14:19):
taking more risk than than what they really wanted to.
So what we call risk level was very probably balanced,
but what they're investing in is very aggressive. So we
had to dial that back a little bit, and we
showed them that their advisor is really not paying attention
to their account and if the market does go down,
then guess what, They're going to lose a lot of money.
(14:39):
So they did not want that and they want an adjustment.
So we helped them put together an investment plan with
different buckets of money with a different purpose. And that's
what we're talking about here. Whether it's dividends, whether it's safety,
whether it's using ways to hedge against inflation. That was
are the buckets that we created for this client. Now,
(15:00):
not only that, we took it to another approach and said, well,
let's talk about future money and what's taxable, what's tax free?
And she said, well, I have no tax free money.
And we talked about first the required minimum distribution. So
she's seventy years old and in a couple of years,
at seventy three, she's going to have to take out
what they call the required minium distribution. And when you
(15:21):
come in to meet with us. We could run this
for you, but at assuming a five percent, just very
conservative growth rate on six hundred and seventy five thousand
dollars at age seventy three, she has to take out
twenty eight thousand dollars of required minimum distribution. Whether she
wants to or not, she has to take that money out.
And every year after she has to take the distributions.
(15:42):
And as you'll see, as the account gets bigger, guess
what happens to the distributions, more taxes, more taxes, They
get bigger, and then now she has to pay more taxes.
And she said, well, how do I get rid of this?
So we ran the example and we showed her that
if she continues to stay on the course that she's
currently on, she's going to pay one hundred and fifty
(16:02):
thousand dollars on taxes on her Requirementum distributions throughout her lifetime.
When she reinvests those Requirementum distributions, she's going to pay
another fifty five thousand dollars. And then when she passes away,
she's going to pay another one hundred and thirty five
thousand dollars to her beneficiaries. Because it's all taxable. So
that six hundred and seventy five thousand dollars IRA, she's
(16:24):
going to pay three hundred and forty thousand dollars in tax.
And that's just at current tax rates. And if they
increase in the future, guess what she's going to pay more.
Speaker 5 (16:33):
So what do we do?
Speaker 4 (16:34):
We said, hey, let's talk about tax free buckets. Let's
convert some money from an IRA to a roth IRA.
So when we reallocated the funds and did the conversion,
she has to pay one hundred and thirty five thousand
dollars in tax and that's it. She has no more
taxes on her requirement of distribution. When she passes away
in the future, she has no tax to the beneficiaries.
(16:57):
So she said, well, one hundred and thirty five thousand
is better than three hundred and forty thousand dollars, isn't it?
And we said yeah, but let's do it the smartlay.
We can pay it on one lump sum, or we
could do it over time, so that one hundred and
thirty four thousand dollars we can convert over a five year,
seven year, ten year pay. And guess what Dad tell me?
How she felt after.
Speaker 2 (17:17):
That she was surprised she didn't know.
Speaker 3 (17:19):
And what made her really understand is why should I
pay more in taxes?
Speaker 2 (17:22):
Because what Chris also needs I didn't mention, but he will.
Speaker 3 (17:25):
It affects it her part being a part D if
she keeps taking that money out.
Speaker 2 (17:29):
So when you look back.
Speaker 3 (17:30):
On it, you got to you got to figure out
if we can do it, you know, strategically to reduce
the tax on the IERMA which is going to increase
and the part D.
Speaker 2 (17:39):
And that's what people don't get it.
Speaker 3 (17:41):
So when we explain what he just did here to people,
it's a it's a multitude of things that you don't
know that are going to affect you Ira, and it's
going to be higher taxes all the way across the board.
Speaker 4 (17:52):
So when someone's in the situation with Evan IRA, what's
the best advice you would give to do to get
ahead of the situation.
Speaker 3 (17:59):
Well, number one is we're talking about here today. Let's
sit down and take a look at it and see
what the numbers look like and if it makes sense
to do it strategically where you take a less tax
out than more, why would you not do that? Because
now what Chris just explained to you she has all
tax free money and she could take it out. It
doesn't affect her Social Security, it doesn't affect her ERMA,
(18:19):
and it doesn't affect her Part B and D. And
that's the story, folks, that you have to pay attention to,
because no one's talking about that.
Speaker 5 (18:26):
And that's just it. So we talked about two roads.
Speaker 4 (18:28):
She can stay on the same road like everybody else
and pay more taxes in the future, and when legislative
risk and the tax rates change, she's going to pay
a heck of a lot more as she gets older.
Or you can get in the tax free lane and
avoid and pay less tax if not any you could
be in a tax free environment for the rest of
your life and.
Speaker 5 (18:48):
Your account grows.
Speaker 4 (18:49):
Guess what taxes are not there anymore because you already
pay them. So pick up the phone, schedule time to
meet with us eight three to three Maggie Tax.
Speaker 5 (18:56):
That's a three to three Maggie tax.
Speaker 1 (19:03):
Stop planning for Uncle Sam's retirement and start planning for
your retirement. As we return to the Maggie Tax and
Financial Hour with your host father and son, Robert and Chris,
Maggie for additional information, on how you can create a
tax free retirement. Visit Maggie tax dot com. That's Maggi
tax dot com or call eight one three three two
(19:26):
two twenty five twenty. That's eight one three three two
two twenty five twenty. Now your host for the Maggie
Tax and Financial Hour. Father and son from Maggie Tax
Advisory and Financial Group, Robert and Chris Maggie.
Speaker 2 (19:40):
Welcome, every want to thanks for joining us. My name
is Robert Maggie.
Speaker 3 (19:43):
I'm here with my son Chris Maggie, and today we're
talking about what we do for a lot of people
on the Roth conversions and why it's so important to
get it done correctly. So if you have an account,
a brokentch account, or you have just a savings account
and you need some information on how to put a
plan together, that's what Chris and I got to talk about,
because it's not just investments, it's more because it's an
(20:05):
income plan, it's a tax plan, it's a legacy plan,
and what about your beneficiaries. So we're going to talk
about how we put this together. Because now we're going
to put this car, this vehicle together so you can
drive away in a tax free environment. So Chris, let's
start with you know, a typical client comes in and
they bring in their statements and we see they have
brokered statements and there's non qualified and qualified, which brings
(20:28):
up another point. Sometimes I don't even know what they have.
So how do we start to make it easy for
them to understand how to separate that money and start
putting it into bucket planning.
Speaker 4 (20:36):
Well, that's it, you know a great question. My gosh,
many people come in with all these statements and they
have piles of money. They don't know where and what
those accounts are. Are they taxable, they non taxable? Can
you generate income from them? Or can you not? So
they're just confused, right, and they've been with their advisor
maybe for a couple of years or for a long time,
it doesn't matter. But maybe they're not doing the complete
(20:57):
plan for them. Maybe they're just doing transactional an account
or I've had this advisor or brokerage account for ten
years and it's just sitting there.
Speaker 5 (21:06):
Well is it?
Speaker 4 (21:07):
Are you taking the right risk with that account? So
what we do is we can do a couple of things.
Number one, we set up a balance sheet. We show
you where your accounts are, what's taxable, it's non taxable,
All on one sheet, we show you type of income
you're currently taking. And this makes a lot of sense
to people because it's about education. So we educate you
on what you have, and then we can go into
(21:28):
step number two, go back to.
Speaker 3 (21:29):
The balance sheet, because it's always some enlightening. A lot
of advisors don't do a balance sheet, and we do
it from the ground up. You know what's soo security,
what there's saving these accounts are if it's non qualified,
if it's qualified, and goes into the beneficiary.
Speaker 2 (21:44):
And who you want to leave it to.
Speaker 3 (21:46):
So the biggest concern that I think people have is
that when they meet with an advisor that they're gonna
come in and they're gonna take all their money and
they're gonna put all their money into one bucket.
Speaker 2 (21:56):
And they don't want to do that.
Speaker 3 (21:58):
So how do you separate right to educate the client
that you can put money in safe buckets. You can
still put money in some risky buckets, but not all
of it. And we've seen this every single time when
a client comes in with a statement.
Speaker 5 (22:12):
Absolutely.
Speaker 4 (22:13):
So leading into step two is that we can analyze
your accounts, and you're right, this is your money. Let's
just talk about this. It's not your advisor's money, it's
not your CPAs, it's your money. So if you come
in and you have a million dollars and you have
two hundred and fifty thousand in the stock that you
love because you've been with it for a long time,
why can't you keep it? Sure you can, there's nothing
wrong with saying you can't. But let's see how it
(22:34):
plays in your plan. Let's get educated and let's show
you what type of risk that will take and maybe
we have to peel off a little bit of that
of money to get the income that you need or
for the right risk level that you're looking for. So Dad,
you're right. We can create the buckets of money. And
a lot of people are looking for safety for their core.
They want to protect their money. We call it green
money buckets. Those are safe money where you don't lose anything,
(22:55):
there's no fees, where you protect your money. So if
the market goes down, guess what those are your protection buckets.
Then you can have yellow money. Yellow money's we're actively
managing money. That's where you can have different purposes with
accounts You can have an inflation protection bucket. You can
have an account that generates dividends, you can have an
account that has growth stocks ETFs a lot of different
(23:17):
positions that are managed effectively. And you can have a
red bucket where if you want to have your own
account that you actively manage or play with, then you
could do that too. But having a holistic approach with
your accounts and knowing where your money's at is so crucial,
and many people, we find out don't have that in place.
Speaker 2 (23:38):
You mentioned a keyword, holistic.
Speaker 3 (23:40):
We had a client call last week and I've had
it many times and they say, can you explain what
holistic means? Because I've never heard that word before. And folks,
it's a simple word because it's about your money. It's
about all your money and where you're going to put it.
And the cool thing about it is that think about
this for a second. You save money, you put it
in a savings account, or you put it in a
checking count. Why do you do that because it's liquid
(24:02):
money and you don't want to take the risk of
losing the money.
Speaker 2 (24:05):
Right.
Speaker 3 (24:06):
I know, it's a low interest rate, we get that,
but we can show you some ways to make that better.
But then you've got to start thinking about the rest
of your money, like Chris is talking about, has anyone
sat down with you and said, hey, you know what,
you're taking ninety percent risk in your investments and if
the market goes down, you're going to lose. And the
question is then what do you do now? Okay, you're
going to go back to your advisor and say, well,
(24:26):
you know, you put it in the wrong bucket. You've
got to sit down, you have to have a conversation.
You have to understand what we're talking about, because you
are going to make the final decision where when when
you put to bucket planning, how much you want in income,
how much you want in green money, how much you
want in yellow money. And I bet people listening right now, Chris,
their advisors aren't talking.
Speaker 2 (24:45):
About red, green, and yellow.
Speaker 5 (24:46):
No they're not. And that's the thing.
Speaker 4 (24:47):
They just have you this broker's account and she's just
sitting there and this is what it's done over the
past year, and don't worry, it's going to come back
when if it goes down, but over time it's going
to be Okay. Yeah, those are the general answers to
the questions that people are having. But at the end
of the day, you've done working, you're retired, you're about
to retire. So many people are in the accumulation phase
(25:08):
of their life, and when they retire, they're still in
the accumulation phase of their life. But there's the distribution
phase that you have to shift to. And it doesn't
mean just hunker down and protect your money with all
of it. That's not what we're saying. We're saying here
is that you have to have a clue. You have
to have a plan. You have to have a purpose
with every dollar you have, and that's why you create buckets.
(25:30):
When you come in to meet with us, we're going
to put together an investment plan. We're going to show
you where one your risk, what your risk level is,
and if you are reaching that or not. Maybe you're
taking more risks than you need to. Maybe you're not
taking as much risk than you need to as well,
so we can evaluate that for you. That's step number two.
Step number three is put together a plan. We can
allocate the different buckets and your money into different buckets
(25:52):
where you're going to have a purpose. You're going to
have a plan. So if this market does go down,
you have now money that just protect it later money
you can let it grow, you can invest that money.
If you are a forty year old, that's fine, or
fifty year old, that's fine. But making sure that you
have segments of money and buckets put together with the
right purpose.
Speaker 3 (26:11):
And here's the question that all of you should be
asking yourself. What if what if something happens to me today?
You know, I'm working, I've got money coming in. How
much do you have put aside that's going to give
you the income that you need every month? Where is
it going to come from? Is it going to come
from solid security? Is it going to come from a
pension without disrupting the rest of your accounts? And Chris,
I think that's the biggest fear of people have is
(26:32):
running out of money and they don't know where to
get it.
Speaker 5 (26:34):
When they do, well, that's it.
Speaker 4 (26:36):
You hit it on the head. I don't care if
you have fifty thousand or ten million dollars.
Speaker 5 (26:40):
I'll tell you what.
Speaker 4 (26:41):
Most people who have a lot of money, their main
concern is running out of money. And many people say, well,
they have plenty of money. Know what they're worried about
is losing it. They're worried about if the market goes
down and running out of money.
Speaker 5 (26:55):
So how do you combat that.
Speaker 4 (26:56):
Well, that's where the income plan comes into play, and
that's where it's so important to make sure you have
an income plan. If we asked you, what's your income plan?
Can you?
Speaker 5 (27:05):
Can you define it?
Speaker 4 (27:06):
Well?
Speaker 5 (27:06):
Yeah, you're right.
Speaker 4 (27:07):
You have social security from a husband and spouse. Some
people have a pension. Maybe some people don't even have
a survivor benefit, so if anything happens to that person,
it stops. So what are you doing? Those are three
income streams? But what if you need more money? Where
do you take the money on a most tax efficient
way so you can have the income, preserve your money
and not have to worry instead of going back to work.
(27:29):
That's generating an income plan. So we can help you
by picking up the phone. Schedule time to meet with us.
That's eight three three Maggie Tax. That's eight three three
Magi Tax. And don't forget register for our seminars. This
is what we talk about.
Speaker 3 (27:42):
Go to Maggi tax dot com look for seminars that
dates are there. Give us a call today eight three
to three Magi Tax Operators are standing by. You need
to do something to help your situation, and the biggest
thing is understand what.
Speaker 2 (27:54):
You have eight three three Magi Tax.
Speaker 3 (27:56):
So if visit our website Maggie Tax dot com, be
sure to watch your TV show every Sunday at ten
thirty on ABC. Folks, it's up to you. We are
offering a lot of helpier, you have to take the
time to do it. Eight three to three Maggie Tax.
Speaker 4 (28:08):
Eight Yeah, No, you're right, So to keep going. I
just want to talk about this as too is to
summarize some things. We do the balance sheet, we analyze
the risk that you're currently taking, We implement the plan,
and we create the buckets of money. But when it
gets to the point of conversions and tax free buckets
are taxable buckets, we can take it to a new
level and create tax free incomes. What does that look like, well,
(28:29):
tax free income. If you look at it from a
tax standpoint like we have and you're paying less taxes,
I think you're going to be pretty happy. Okay, We've
reduced a lot of our client's taxes because they did
it the right way, and we even show them if
you continue on the same path that you have, you're
going to pay a lot in taxes.
Speaker 3 (28:44):
And you know what, everybody says, well, I don't want
to do that. I know, I know, but you've got
to do something to fix it. Change the lane, look
at it through a different lens. That's the problem, Chris,
that I think people have. They are so stubborn in
their ways. Because that's the way we would talk. No
one broke the mold and said, yeah, you can do
something different and it's not going to hurt you.
Speaker 2 (29:03):
You're allowed to do that. You're a big boy, you're
a big girl. Your money, your career, your life.
Speaker 3 (29:08):
So take a step to the side and look at
it through a different lens, because you can do it.
And a lot of times, Chris, I know, we see
it all the time, the amazement and some of the
people that come in like, wow, I really didn't know that.
Speaker 5 (29:20):
And that's great.
Speaker 4 (29:20):
You know, it's really rewarding when we see clients who
have are generating over one hundred thousand dollars of income
per year and aren't paining a diamond tax. And you
look at that, and we say that on the radio,
and we say it when we move people, and I
can say the tax returns you know, people are getting
income from five different sources, including social Security and a
small pension. And guess what they got income coming in
the front door and aren't paying a diamond tax, and
(29:42):
their accounts are in a situation where they have a
purpose and they have safety, and they have growth, they
have what they're looking for inflation protection, and then guess what,
they have a plan. So we talked about all that
and then leads into the final what about a state planning?
Speaker 5 (29:56):
What is that? And how do we put this all together?
Speaker 3 (29:58):
Well, you know, if you don't have a will or
a power of attorney or a durable power of attorney
or a healthcare surrogate. People that own homes don't have
a quit claim deed or a lady bird deed, And
if they don't have that, it's going to go through probate.
And so many of you out there think, well, just
because my name's on the mortgage, it's not going to
go through probate.
Speaker 2 (30:15):
I'm going to tell you right now you're wrong.
Speaker 3 (30:17):
And you need to understand how simple this is, how
inexpensive this is, and how important it is to all
of you to sit down and put either a trust
package together or a will package because it's going to
protect you and it's going to protect your kids. And
I'm telling you, we've seen too many people come in
after the fact, Chris, and it's like you sit there
and you cry, like why didn't someone tell them about Well,
(30:37):
that's it. I mean, you see the passion that we have.
Speaker 5 (30:39):
We can do.
Speaker 4 (30:40):
That's what holistic planning is incomplanning, tax planning, investment planning,
state planning, and that's what we do here at Maget
Tax and Financial Groups. So pick up the phone, schedule
time to meet with us. Eight three three Magi Tax
eight three three Magi Attacks. We have office on both
sides of the base, so it's very convenient for you.
Eight three three mag Attacks. Look forward to meeting with
(31:01):
you and putting together a plan for you and your family.
Speaker 5 (31:04):
Eight three three Maggie Tax.
Speaker 1 (31:06):
Stop planning for Uncle Sam's retirement and start planning for
your retirement. As we return to the Maggie Tax and
Financial Hour with your host father and son, Robert and Chris.
Speaker 2 (31:16):
Maggie.
Speaker 1 (31:16):
For additional information on how you can create a tax
free retirement, visit Maggie Tax dot com. That's ma gg
I tax dot com or call eight one three three
two two twenty five twenty. That's eight one three three
two two twenty five twenty. Now your host for the
Maggie Tax and Financial Hour, father and son from Maggie
(31:40):
Tax Advisory and Financial Group, Robert and Chris Maggie.
Speaker 2 (31:43):
Oh, and welcome back. My name is Robert Maggie.
Speaker 3 (31:45):
You're listening to the Maggie Tax and Financial Show and
I'm here with my son and co host Chris Maggie.
And if you have any questions, well you need to
make an appointment. Give us a call at eight three
three Maggie Tax. And I have operators standing by right now,
and mention to them that you want to talk about
a Roth conversion, or you want to talk about taxes
and you want to talk about investments, let them know
so when we get together we'll have a conversation. But
(32:06):
you know, we've been talking about Roth conversions, and I
want to talk about why a Roth conversion at any
age will save you hundreds of thousands of dollars in taxes.
And let's talk about one of my clients that I had.
We can talk about a lot of them, but one
of them, the girl's name is Patricia. She came to
us a year ago or so after coming to the
realization that her great saving habits were going to be
(32:27):
taxed very heavily in the future, and she was shocked
because of her required minimum distribution. Chris, the thing that
matters a lot to people is they don't realize that
the iras have required minimum distribution. So whatever balance it is,
they're going to take something. Right they have to. They
have to, and whether they want to or not, they
have to right now. The question is you take that
(32:49):
R and D and what do you do with it?
Speaker 4 (32:50):
Well, some people, if they don't need it, they have
to take it and they just reinvest it. So what
happens is one they have to pay the tax on
the distribution too. Now they start paying taxes on the reinvestment.
And three, now when they pass away, they have to
pay tax on the amount that goes to the beneficiaries.
Speaker 2 (33:06):
And now, let me give you a point.
Speaker 3 (33:08):
Client calls me last week and says he got a
check for eleven thousand dollars. What's that from? I said, well,
through your RMD from IRA. He said, what's that? So
I said, look, you're of age, you have to take
the requirement distribution. He said, but I don't want the
eleven thousand. I said, well, put in your bank and
then if you invest it, you're going to get taxed
(33:29):
on it.
Speaker 2 (33:29):
He said, I don't want that. So what do we
tell this guy?
Speaker 4 (33:32):
So now that's why he's what seventy five years old?
So now looking back, if he was seventy years old,
we could start doing a roth conversion over time till
we call this strategic rollout. Even if he was younger,
he says, sixty five or sixty even fifty five, right,
or even fifty it's even better because then you can
get all the money out into a tax free environment.
Speaker 5 (33:50):
You have to worry about the requirement of distribution.
Speaker 3 (33:53):
One window of opportunity that all of you need to
look at, and you know your situation is if you're
say sixty to seventy three, that's a thirteen year window
that you have time to strategically convert your IRA to
a roth ira and pay no tax.
Speaker 2 (34:10):
How many people do.
Speaker 5 (34:11):
That, Well, a lot of people if they know that
there's a plan to do it.
Speaker 2 (34:16):
That's the reason why I do it.
Speaker 3 (34:17):
You said, the keyword if they know, and you know,
and I know a lot of people don't they're shocked.
So tax time comes around and client says to me, Bobby,
I'm paying too much in taxes, and I say, no,
you're not. Oh yeah, I never paid this much in
tax I said, well, guess what you got to check
for requirement of distribution? Right, yeah, Well it's taxable, which
(34:38):
means you didn't withhold anything for that distribution and you're
you're supposed to do that. Who gets paid first, Chris,
uncle Sam, gosh man. I wish that would change, don't you.
Speaker 5 (34:48):
So that's it.
Speaker 4 (34:48):
So we're all taught, right, we're all taught to put
money away into a form one k Ira. Reduce the
tax now, but in the future, guess what you'll have it.
You don't mean a lower tax bracket, so when the
money comes out, it's not going to be a problem
for you. The problem is that we have a huge
debt as a country, and taxes are prevalent. They're there,
they're going, they're gonna go after people who have the money.
They know how much money you have in your ir
(35:09):
they know how much money you have in your formal Okay,
they know it. So all they have to do is
increase a tax rate three percent, five percent and guess
what more tax revenues. So who's it gonna come from?
People who have the money. You have the money, so
they're gonna go out and get it at some point.
Whether it's now, whether it's five years, and whether it's
fifteen years, it doesn't matter. So the fact that we're
talking about here is keep an open mind, do some planning,
(35:32):
tax planning, investment planning, income planning, and state playing. That's
what we do here, and we're talking about here tax
planning because that's our biggest expense. So pick up the phone,
schedule time to meet with us. Let's look at if
you have an IRA, let's look at a Roth conversion.
Sit down, have a conversation, see if it makes sense.
And when when we look at your accounts and we
can figure out how much tax is that going to be,
(35:53):
and then you know, we can put it all together
to put together a plan for you. Because most people,
we see about eighty five percent of the people will
come in and have no plan. They have piles of money,
they have taxable accounts, and guess what, they're just falling
victim to whatever is going to happen. If that's what
you want, then you will have it. But if you
don't want that, then let's put together a plan. And
that's what we want to focus on here today is
(36:15):
putting together the right plan for you.
Speaker 3 (36:16):
Eight three three Maggie Tax. So let me offer all
of you listening a life support. Go to our website,
Maggie tax dot com, click on seminars. We have seminars
scheduled every single month, two a month. They're at libraries.
There's no food. I'm not feeding anybody. It's education and
a lot of people tell me the reason why they
come is because they want the education. So let me
(36:38):
say this. When you come to the seminar, it's about
an hour and a half. We're going to educate you
on what we're talking about right here, the R and
DS and how they're taxed and how to convert.
Speaker 2 (36:48):
Take the time.
Speaker 3 (36:49):
I challenge all of you all right there in the
morning and they're in the afternoon. Take the time and
come to our event. Go to Maggie Tax dot com
right now and you can put your name and register.
There's seminars through February, and we're going to do this
and we have been every month. It's the only way
that I can help you understand what these questions that
we're giving you now that people give us will answer
(37:10):
for you because you have to know the answer and
go back to the other person I had before. The
reason why that this woman realized this was because she
went on my website, Maggie tax dot com and in
thirty seconds we sent to the retirement tax bill. And
this is when she realized she has been saving so
long on a tax deferred basis and finally realize she
has a problem. Why wait so long before the virus
(37:33):
sets in or the fever gets high. Do something about
it now. So go to Maggie tax dot com right now,
go to seminars. You can click and I'll take you
two seconds. The dates are there, the times are there.
Take the time and educate and help. Let us help you.
Speaker 4 (37:47):
Eight three three Maggie Tax. And here's an idea for
all of you. If you have two hundred thousand dollars
to a million dollars even higher, we have a team
of highly qualified, personally trained representatives' planners with the knowledge
and understanding from a tax appro to understand how a
Roth conversion can save you hundreds of thousands of dollars
in unnecessary fees and taxes. How about a quick chat
(38:08):
to see if we can help you. Eight three three
Maggie Tax. Visit our website at Maggi tax dot com.
We thank you so much for listening to today's show.
Every Sunday on ABCTV at ten thirty am, tune in
to the Maggi Tax and Financial Show half an hour
and educating you on a lot of different topics income planning,
tax planning, investment planning as well as a state planning.
(38:29):
Put together the holistic plan for you. Eight three three
Maggie Tax. We look forward to meeting with you. We
have obbays on both sides of the bay. Eight three
three Maggie Tax.
Speaker 1 (38:41):
You've been listening to the Maggie Tax and Financial Hour
discussing tax planning investment strategies presented by Robert and Chris
Maggie from Maggie Tax Advisory and Financial Services with offices
in Hillsboro and Panelas County. Visit Maggie Tax dot com
or call eight one three three two two twenty five
twenty that's eight one three three two two twenty five
(39:03):
twenty and tune in next Saturday at five for the
Maggie Tax and Financial Hour.
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